1. Your car dealer is willing to lease you a new car for $180 a month for 36 months. Payments are due on the first day of each month starting with the day you sign the lease contract. If your cost of money is 4.0 percent, what is the current value of the lease?

14. Your grandmother will be gifting you $130 at the end of each month for four years while you attend college. At a discount rate of 3.5 percent, what are these payments worth to you on the day you enter college?

19. Southern Tours is considering acquiring Holiday Vacations. Management believes Holiday Vacations can generate cash flows of $218,000, $224,000, and $231,000 over the next three years, respectively. After that time, they feel the business will be worthless. If the desired rate of return is 11.5 percent, what is the maximum Southern Tours should pay today to acquire Holiday Vacations?

20. Your broker is offering 2.6 percent compounded daily on its money market account. If you deposit $2,500 today, how much will you have in your account 15 years from now?